Tuesday, September 30, 2014

Netflix Will Premiere Feature Films Too

Netflix has proven itself to be a disruptor.  Its announcement of a distribution agreement with The Weinstein Company changes the framework of the movie distribution business.  Walls are collapsing as we speak.  A film would normally go to the movie houses first then to premium cable, then basic.  Some bypass premium and some bypass basic cable and go to broadcast.  Netflix has decided to go to the top and bypass the movie screen for the home. 

Next August, Netflix will premiere the sequel to the Ang Lee film, "Crouching Tiger Hidden Dragon".  The film will play simultaneously on Netflix and on IMAX screens.  It is an interesting strategy and one that depends on consumers continuing to subscribe to Netflix and staying loyal to the service.  I wonder how else Netflix can monetize such a push into original theatrical content to continue to invest in more productions.  At the very least, it is another disruptive move that will put cable television on the defensive.